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Ontario beef farmers grateful for federal funding
announcement
September 10, 2004 (Guelph) – Today’s announcement of a
$488 million federal government compensation program clearly indicates
that the government recognizes both the severity of the Bovine
Spongiform Encephalopathy (BSE) crisis and the important role that the
beef industry plays in the Canadian economy.
Ron Wooddisse, President of the 21,000 member Ontario
Cattlemen’s Association (OCA), was pleased with Agriculture and Agri
Food Minister Andy Mitchell’s announcement. Wooddisse noted that the
amount of the funding – and the structure of the programs announced –
reflects significant input from the Canadian Cattlemen’s Association (CCA)
and beef producers from all provinces. CCA’s Board of Directors, of
which Wooddisse is a member, approved a strategic plan last month that
contained many components of the recently-announced program. That plan
can be viewed on CCA’s website at www.cattle.ca. Said Wooddisse, “We’re
pleased that they took so much direction from us in developing programs
that will sustain, and hopefully improve, our crippled industry.”
While the reopening of the United States border to live
cattle continues to be a priority of industry and government alike, the
new programs are designed to enhance profitability for the Canadian beef
industry with or without a border opening.
Today’s announcement will help to increase Canadian
processing capacity which is much needed. Matching the supply of cattle
to the available capacity was a key component of the CCA proposal. Two
set aside programs, one for market-ready cattle and one for younger
cattle, will give producers the option of retaining their animals for
the short term– and selling them when prices may be stronger. This
should hopefully enhance financial returns to producers. Finally, the
funding will help to improve Canadian beef tracking, trace back and BSE
surveillance systems – enhancements that can only help to regain the
confidence of foreign markets.
While only the federal government has announced funding,
to date, Ontario’s Minister of Agriculture and Food, Steve Peters, and
his staff, have been in discussions with OCA on provincial participation
in a cost-share arrangement similar to the one that has already been
announced in Alberta. Said Wooddisse, “We expect and anticipate an
Ontario funding announcement in the near future.”
Prior to BSE, beef was Ontario’s second largest
commodity in terms of annual farm gate receipts with a value of
approximately $1.2 billion. Beef exports from Ontario to the U.S.A., in
2002 (the last normal year of trade) were valued at $354 million in live
cattle and an additional $292 million in beef product.
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For further information:
Dave Stewart, OCA Acting Executive Director, 519-824-0334
Ron Wooddisse, OCA President, 519-638-3571
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